The global air-dried food products market was valued at USD 4.9 billion in 2021 and is expected to expand at a CAGR of 10.5% from 2022 to 2030. Air-dried food products are gaining popularity among health-conscious consumers due to their nutritional value, convenience, and shelf-life. Air drying is a method of preserving food by removing moisture from it, which reduces the rate of spoilage and increases its shelf-life. Furthermore, the rising demand for convenience food due to changing lifestyles and busy schedules is propelling the demand for air-dried food products.

Air-dried food products are gaining traction from consumers due to their health benefits. For instance, air-dried fruits and vegetables are high in nutrients, including vitamins and minerals, and are free from additives and preservatives. Additionally, air-drying preserves the flavor, texture, and color of the food and does not require the use of additional energy or water. Moreover, the increasing trend of snacking is driving the demand for air-dried fruits, as they are a healthy and convenient snack option.

The increasing number of product launches is further supporting the growth of the market. For instance, in October 2020, the US-based provider of plant-based snacks and frozen meals, Outstanding Foods, launched PigOut Pigless Bacon Chips, which are made from air-dried mushrooms. The chips are high in protein and are free from gluten, cholesterol, and dairy. Furthermore, the rising adoption of air-dried food products in the pet food industry is driving the demand for the market. For instance, in April 2021, the US-based pet food manufacturer, Big Country Raw, launched a line of air-dried recipes for cats and dogs.

Additionally, the rising demand for air-dried food products from the commercial sector is further driving the market growth. For instance, in August 2020, the US-based food and beverage company, Credible Food Solutions, launched an air-dried chili blend that can be used in commercial foodservice products. The company provides a wide range of products, including air-dried fruits, vegetables, and herbs, to the foodservice industry. Furthermore, the favorable regulatory environment is expected to further support the growth of the market in the coming years. For instance, in July 2020, the US FDA updated its guidance on the safety and labeling of ready-to-eat foods that are dried using air-drying techniques.

The air-dried snacks segment dominated the market and accounted for a share of around 39.4% in 2022. Growing health consciousness among consumers fuelled by rising awareness about the health benefits of air-dried snacks is driving the market growth. According to an article published by the University of Florida, air-dried snacks are considered as a healthy alternative to the processed snacks and offer many health benefits, such as high-fiber, low-fat, and low-sugar content. Additionally, increasing disposable income among consumers and the emergence of new flavors of air-dried snacks are some of the other factors driving the growth of the market.

The air-dried vegetables segment is projected to expand at the fastest CAGR of 7.3% over the forecast period. Growing concerns about food wastage and the rising demand for healthy and organic food are bolstering the demand for air-dried vegetables. According to an article published by the USDA, in January 2020, air-dried vegetables contain up to 4 times more antioxidants than cooked vegetables, making them a healthier choice. Furthermore, increasing awareness about the health benefits of air-dried vegetables and the convenience of storage are some of the other factors driving the growth of the market.

The supermarkets and hypermarkets segment dominated the overall air-dried food products market in 2022, with a market share of over 44.3%. Customers are increasingly opting for supermarkets & hypermarkets over other retailers due to the wide variety of air-dried food products available. In addition, the convenience offered by these stores creates a positive shopping experience. Also, customers are able to avail discounts on bulk purchases, making them a preferred option among consumers.

The online segment is expected to witness a higher growth rate of 12.2% during the forecast period owing to the increasing availability of air-dried food products on e-commerce websites. The presence of air-dried food products on e-commerce websites has enabled customers to easily access various products from different brands. In addition, rising internet penetration, along with a growing number of smartphone users, has further boosted the e-commerce segment. Moreover, various discounts and offers provided by e-commerce websites have attracted customers to purchase air-dried food products online.

The global air-dried food products market is dominated by the freeze-dried segment, which accounted for the largest revenue share of 79.1% in the year 2022. This is attributed to its high shelf life, convenience, and versatility. The products can be stored for long periods without requiring refrigeration, which makes it ideal for consuming on the go. Furthermore, freeze-dried products are easy to store, lightweight, and have a high nutritional value. This has increased their demand in the military, backpacking, and camping sectors.

The air-dried segment is expected to witness the fastest CAGR of 9.9% over the forecast period. This is attributed to the growing demand for convenience foods among working people, as they are easier to prepare. In addition, its low cost and low energy consumption during the production process is driving the market growth. Furthermore, the growing demand for natural and organic food products is expected to fuel the growth of the air-dried segment.

North America held the largest market share in 2022 and is expected to maintain its dominance during the forecast period. This can be attributed to the presence of prominent market players, such as Nestle, Kellogg’s, and Kraft Heinz, who have a strong foothold in the regions. Furthermore, the increasing number of working-class population and hectic lifestyle have created a need for convenience food products, which is expected to fuel the market growth in the region.

Asia Pacific is expected to witness the highest growth rate during the forecast period on account of the growing health consciousness among consumers in the region. In addition, the increasing disposable income of consumers in the region is enabling them to buy premium air-dried food products. For instance, in April 2022, Nissin Foods launched its air-dried food products in India.

In this part of the air-dried food products business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your air-dried food production business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions

The main source of revenues for an air-dried food production business comes from the sale of dried food products. Other possible sources of profit may include the sale of ingredients, packaging, and marketing materials.

Projecting Expenses

In this section, all the regular expenses related to keeping the air-dried food production business running will be described. The list of operating expenses includes electricity, water, wages, maintenance and repairs, insurance policies, advertising, and others. Additionally, you should take into account the cost of purchasing the ingredients, packaging materials, and the cost of running a website or any other marketing tools.

Some of the major companies operating in the air-dried food market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In June 2022, Nestlé launched a range of air-dried snacks for the Indian market.

– In August 2022, PepsiCo Inc. launched a range of air-dried fruits and vegetables for the US market.

– In October 2022, General Mills launched a range of air-dried snacks for the European market.

Some of the prominent players in the air-dried food market include:

– Nestlé SA
– PepsiCo Inc.
– General Mills, Inc.
– Kraft Heinz Co.
– Kellogg Company
– ConAgra Brands, Inc.
– TreeHouse Foods, Inc.
– Hormel Foods Corporation
– Diamond Foods, Inc.
– Pinnacle Foods Inc.

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global air-dried food products market based on product, distribution channel, type, and region:

1. Product Outlook (Revenue, USD Million, 2017 – 2030)

– Fruits
– Vegetables
– Herbs & Spices
– Nuts & Seeds
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Type Outlook (Revenue, USD Million, 2017 – 2030)

– Natural
– Organic

4. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What are the Major Drivers of the Air-Dried Food Products Market?
[A]: The major drivers of the air-dried food products market are the growing demand for convenience foods, increasing health consciousness among consumers, and the rising awareness about the health benefits of air-dried food products. Additionally, the rising disposable income of consumers, especially in the emerging markets, is expected to drive the market during the forecast period.

[Q]: Which Regions are Expected to Show the Highest Growth?
[A]: The Asia Pacific region is expected to show the highest growth in the air-dried food products market due to the increasing demand for healthy and convenient food products in the region.

[Q]: What are the Key Segments of the Air-Dried Food Products Market?
[A]: The air-dried food products market is segmented into product type, application, and region. The product type includes fruits and vegetables, meat, fish, and dairy products. The applications are bakery, ready meals, snacks, pet food, and others.

[Q]: What are the Major Challenges Faced by the Air-Dried Food Products Market?
[A]: The major challenges faced by the air-dried food products market are the high cost of production, lack of awareness about the health benefits of air-dried foods, and the lack of availability of air-drying technology in the developing countries.

[Q]: What are the Opportunities for New Entrants in the Air-Dried Food Products Market?
[A]: There is a growing demand for air-dried food products, and this presents an opportunity for new entrants to enter the market. Additionally, the increasing health consciousness among consumers and the rising awareness about the health benefits of air-dried food products are expected to create opportunities for new entrants to enter the market.